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CLT Council
89 Online News |
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CLT E-LINE SEPTEMBER 13, 2004
US Airways filed for Chapter 11 reorganization yesterday afternoon in Arlington Virginia. In a press release the Company said the action would allow the airline to, “implement its Transformation Plan”. The complete release is on USAirways.com or you can click the link below. http://www.usairways.com/about/press/nw_04_0912.htm The Company maintains that failure to achieve cost cutting agreements with labor groups led to the filing. They went on to say, “We are committed to reaching new labor agreements consensually because that is always in the best interest of all parties, but if not, we will need to consider the other alternatives provided for under the law." When the Company approached labor leaders in May of this year, the Transformation Plan included pay rates equivalent to America West and Jet Blue work rules. The Company’s last proposal called for a pay rate freeze and a 15% cut to the frozen wages with a 2% raise in 2008. That alone would reduce our wages to a level 10-12% BELOW America West. Work rules presented in the proposal are worse than anything Jet Blue has ever thought of implementing. An “industry leading” profit sharing plan offered is now subject to approval by the court. Elimination of retiree medical benefits and a freeze to our pension plan were also in the proposal. Since our talks with the Company began in May your leaders have understood the problems US Airways faces and the environment within which we operate. We have made it clear to the Company we are willing to make sacrifices and have again offered concessions. We are committed to the successful restructuring of US Airways. US Airways is trying to re-invent itself as a “low cost carrier” overnight. They are asking employees to step into a time machine and roll back wages to levels of a decade or more ago. By freezing and/or terminating pension plans the Company is eliminating benefits fought for and earned after many years of negotiating. Yes, it does cost money to have a loyal professional work force. We will continue to try and negotiate an agreement that will help US Airways achieve its Transformation Plan. However, the Transformation Plan needs to include existing employees who are productive and have a meaningful stake and return in the Company. Please refer to our Web Site for information regarding the Company filing and a Bankruptcy Q and A through the following link. http://www.afausairways.org I know that anxiety levels are at an all time high. The best thing we can all do is to continue to do our jobs safely and professionally. During a radio interview yesterday, I was asked if I was looking for a new job. My reply was that I already have a job and I will do my best to maintain it. Thank you,
MIKE FLORES |
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© Copyright 2004. Council 89 CLT AFA -CWA US Airways - Council89@afausairways.org |
